Executive Mosaic’s GovCon Index climbed Thursday on strong gains by large aerospace primes and services contractors as all three major U.S. stock indices hit record highs in intraday trade after President Donald Trump said he would give a tax policy announcement in the next few weeks.
GovCon Index gainers outnumbered laggards by a 5-to-1 ratio as eight of its 11 S&P 500 components advanced with co-listed Northrop Grumman (NYSE: NOC) the GCI’s top net performer overall.
Northrop registered a gain above $2.00 and six other GCI stocks moved up at least $1.00 each: CACI International (NYSE: CACI), Lockheed Martin (NYSE: LMT), L3 Technologies (NYSE: LLL), AECOM (NYSE: ACM), Raytheon (NYSE: RTN) and Maximus (NYSE: MMS).
Health and human services contractor Maximus reported first quarter financial results above Wall Street’s forecasts on earnings and revenue.
Co-listed McKesson Corp. (NYSE: MCK) weighed as the GCI’s largest net laggard with ICF (Nasdaq: ICFI) second-lowest and both fell by more than $1.00.
Trump’s pledges of lowered corporate taxes and regulations along with increased defense and infrastructure spending have driven the GovCon Index and U.S. equities to a succession of record highs since his Nov. 8 election win.
Financial shares climbed 1 percent to lead 10 major S&P sectors higher with utilities the only decliner.
Market Summary
| Index | Value | Net Change | % Change |
|---|---|---|---|
| GovCon Index | 89.470 | +0.488 | +0.548% |
| S&P 500 | 2,307.87 | +13.20 | +0.58% |
| Dow Jones Industrial Average | 20,172.33 | +117.99 | +0.59% |
| NASDAQ | 5,715.18 | +32.73 | +0.58% |
| Advancing GovCon Index Issues | 25 |
| Declining GovCon Index Issues | 5 |
| Unchanged GovCon Index Issues | 0 |
Top GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –´ | % Change |
|---|---|---|---|---|
| NOC | Northrop Grumman * | 234.84 | +2.42 | +1.04% |
| LMT | Lockheed Martin * | 258.20 | +1.46 | +0.57% |
| LLL | L3 Technologies * | 161.50 | +1.31 | +0.82% |
| CACI | CACI International | 127.50 | +1.30 | +1.03% |
| ACM | AECOM | 38.09 | +1.06 | +2.86% |
Top GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –´ |
|---|---|---|---|---|
| EGL | Engility Holdings | 29.33 | +0.91 | +3.20% |
| ACM | AECOM | 38.09 | +1.06 | +2.86% |
| VEC | Vectrus | 22.48 | +0.50 | +2.27% |
| MMS | Maximus, Inc. | 55.73 | +1.03 | +1.88% |
| NAV | Navistar International | 27.44 | +0.50 | +1.86% |
Lowest GovCon Index Net Performers
| Symbol | Company | $ Current Price | Net Change –¾ | % Change |
|---|---|---|---|---|
| MCK | McKesson Corp. * | 139.71 | -1.23 | -0.87% |
| ICFI | ICF | 49.55 | -1.05 | -2.08% |
| GD | General Dynamics * | 182.59 | -0.55 | -0.30% |
| HRS | Harris Corp. * | 104.49 | -0.42 | -0.40% |
| BAESY | BAE Systems | 30.05 | -0.05 | -0.17% |
Lowest GovCon Index Percentage Performers
| Symbol | Company | $ Current Price | Net Change | % Change –¾ |
|---|---|---|---|---|
| ICFI | ICF | 49.55 | -1.05 | -2.08% |
| MCK | McKesson Corp. * | 139.71 | -1.23 | -0.87% |
| HRS | Harris Corp. * | 104.49 | -0.42 | -0.40% |
| GD | General Dynamics * | 182.59 | -0.55 | -0.30% |
| BAESY | BAE Systems | 30.05 | -0.05 | -0.17% |
